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Loan Prediction Analysis - Classification

Loan Prediction Analysis - Classification

Complete Video Tutorial: https://youtu.be/zDwxGxiNFSo

Dataset Information

Dream Housing Finance company deals in all home loans. They have presence across all urban, semi urban and rural areas. Customer first apply for home loan after that company validates the customer eligibility for loan. Company wants to automate the loan eligibility process (real time) based on customer detail provided while filling online application form. These details are Gender, Marital Status, Education, Number of Dependents, Income, Loan Amount, Credit History and others. To automate this process, they have given a problem to identify the customers segments, those are eligible for loan amount so that they can specifically target these customers.

This is a standard supervised classification task.A classification problem where we have to predict whether a loan would be approved or not. Below is the dataset attributes with description.

Variable Description
Loan_ID Unique Loan ID
Gender Male/ Female
Married Applicant married (Y/N)
Dependents Number of dependents
Education Applicant Education (Graduate/ Under Graduate)
Self_Employed Self employed (Y/N)
ApplicantIncome Applicant income
CoapplicantIncome Coapplicant income
LoanAmount Loan amount in thousands
Loan_Amount_Term Term of loan in months
Credit_History credit history meets guidelines
Property_Area Urban/ Semi Urban/ Rural
Loan_Status Loan approved (Y/N)

Download link: https://www.kaggle.com/altruistdelhite04/loan-prediction-problem-dataset

Libraries

  • pandas
  • matplotlib
  • seaborn
  • scikit-learn

    Algorithms

  • Logistic Regression
  • Decision Tree
  • Random Forest
  • Extra Tress

    Best Model Accuracy: 81.00